Message from the President

First and foremost, welcome to a new year with GPAHU.  2012 will be the most important year in the history of our industry as it will determine whether the Patient Protection Affordability Care Act (PPACA) is implemented or repealed.  Not only will the Supreme Court hear arguments to the constitutionality of PPACA, but the November election will play a major role in the implementation of PPACA as well.

I recently attended the National Association of Health Underwriters (NAHU) Capitol Conference 2012, and have a lot of great information to share. But what I found most interesting were the discussions around the possible outcomes of the 2012 election and the subsequent impact to PPACA.

Three possible federal electoral outcomes seem most likely.  All assume that the Republicans will retain control of the House of Representatives, though perhaps with a diminished majority.  Under the first scenario, the status quo continues with President Barack Obama in the White House and Democrats controlling the Senate; in the second, Obama is reelected but the Senate goes Republican; in the third, the Republicans recapture the White House and control both houses of Congress.

The take away from these three scenarios is the health insurance delivery system will continue to be complex, and our clients will require our advice and counsel as much as they ever have.  Our value as agents and brokers will continue to evolve into trusted advisors to our clients much like attorneys and accounts.

This is where NAHU and GPAHU can help.  With education as one of our main missions, you will find a wealth of information available to guide you through the complexity.  I encourage you all to visit the NAHU website www.nahu.org in particular.  There you will find an extensive library of information to help you with PPACA as well as client ready materials to assist you in servicing your clients.  Please remember we are here to help you at GPAHU.  Feel free to contact us with any question and we will be happy to point you in the right direction.  We look forward to serving you in 2012.

Jerry McGlone
GPAHU President,
TRION

 

Message to GPAHU from PAHU President

By PAHU’s Day on the Hill April 4, it will be a three-way battle for the Exchanges in Harrisburg.

On the left, there are those interests which want a government intrusive Health Insurance Exchange similar to Massachusetts or to what former Governor Rendell sought.

On the right, there are those who would rather wait until after the US Supreme rules on PPACA before enacting exchange legislation.

Conservative centrists are found in the Corbett Administration who say that if we do not pass Exchange legislation favorable to Pennsylvania, HHS and PPACA will ram it down our throats.  Commissioner Consedine likened it to preparing for a hurricane. You don’t always know the path it will take but you have to prepare anyway.  The Corbett approach wants a minimalist government and above all to keep HHS further away from controlling our health insurance market.

By April, a formal bill will be introduced, aided considerably by PAHU’s input every step of the way.  Although no one knows what the final draft will look like, here are some areas PAHU has successfully been advocating:

  • Licensed insurance producers on the Exchange’s governing board
  • No micro-management by the state on the market
  • Tight restrictions on what Navigators can and most important what they cannot do
  • Require specific training for those seeking to be in the Exchange market

Areas where we expect conflict include opposition from those who see insurance as akin to Travelocity.  Why involve an insurance producer when a person should be able to enroll on line?  Why not have unlicensed personsdo the actual enrollment?  Aren’t agents just an administrative expense? Would not consumers be better off getting rid of the middle man?  These folks frankly do not understand what you do and how you help your clients and their families.

The PAHU Day on the Hill is where we collectively educate the General assembly of the importance of insurance brokers.  This is where we demonstrate how brokers are an indispensable part of the insurance system.  This is where you make a difference…assuming you’re there.

Believe me when I tell you that this advocacy by PAHU members has really enhanced our credibility on Capitol Hill both in Harrisburg and in Washington.  It is no accident that a majority of Pennsylvania’s entire congressional delegation have signed on to sponsor HR 1206, the bill exempting agent compensation from the Medical Loss Ratio.  It is no accident that PAHU has been able to influence the direction of the exchange legislation thus far.  Our lobbyist, Legislative Committee and leadership cannot do it alone.  As a member, your contribution is vital to our overall success legislatively.

That’s why you should mark April 4 on your calendar.  Our lobbyist will set up the appointments, provide coaching and the GPAHU will provide you with transportation to Harrisburg and back.  No one goes into a meeting alone, you will be a member of a team and will get to experience just how easy it is to educate your legislators.

I look forward to seeing you in Harrisburg April 4.

Scott Mardis
PAHU President
Sr. Vice President, Business Development, AmeriFlex